Pepe price rally has pulled back after peaking at $0.000015 on May 12, mirroring the performance of most cryptocurrencies.
Pepe Coin (PEPE) token pulled back to $0.00001250, down by 17.8% from its highest point this month. Here are the top three catalysts that may supercharge the third-biggest meme coin to a record high.
Pepe price technicals signal a rebound is coming
The daily chart shows that the Pepe token formed a double-bottom pattern at $0.00000577 in March and April, then moved above the neckline at $0.000009215.
Pepe then went parabolic and formed the flagpole of a bullish flag chart pattern. This pattern comprises a vertical rise followed by a flag-like consolidation, often leading to a strong bullish breakout.
The breakout will be confirmed when the Pepe coin price rises above the upper side of the flag at $0.00001535. A break above that level would point to gains toward the 38.2% retracement level at $0.000020. That move would confirm the potential for further upside, targeting its all-time high of $0.00002840, up 125% from the current level.
Another major technical catalyst is the formation of a large triple-bottom pattern at $0.0000057, its lowest level in August 2024 and March this year. The neckline of this pattern is near its all-time high of $0.00002838.
Whales continue to accumulate Pepe coins
Another bullish catalyst for Pepe price is that whales continue buying, a sign they expect it to keep rising.
Santiment data shows that wallet addresses holding between 10 million and 100 million tokens now hold 4.02 trillion coins, up from 3.9 trillion in February. Similarly, those holding between 100,000 and 10 million coins have continued adding to their positions.
Whale accumulation is considered a leading indicator in the crypto industry, as it signals that these investors are bullish on the coin.
Pepe exchange balances are falling
More data shows that many Pepe investors are not selling and are moving their tokens to self-custody instead.
Per Nansen, there are 247.8 trillion tokens on centralized exchanges like Binance, Robinhood, and Bybit. There were 253.47 trillion tokens a week ago.
Falling exchange balances are a bullish signal because they indicate reduced selling pressure from investors. They also suggest that holders have long-term confidence in the coin.
Another bullish catalyst for Pepe is that the funding rate has remained positive since May 8. A positive rate indicates that investors anticipate the future price will be higher than the current one. It also reflects increased demand for long positions in the futures market.
